[Bitcoin Now] Brief Pause with Decline... Continued Expectation of Rise Due to Large Investor Buying

[Image source=Yonhap News]

[Asia Economy Reporter Lee Jung-yoon] The price of Bitcoin, a leading cryptocurrency that had been rising recently, is showing a downward trend.

According to the global cryptocurrency market tracking site CoinMarketCap, as of 11:21 AM on the 30th, the price of Bitcoin recorded $46,791 (approximately 56.7 million KRW), down 1.42% from the previous day. At the same time, the price aggregated by the domestic cryptocurrency exchange Upbit was 56.61 million KRW, down 0.66% (377,000 KRW) from the previous day.

The Bitcoin price appears to have entered a brief pause and declined after showing an upward trend. On the 30th (local time), Bloomberg reported, "Bitcoin prices, which recently reached the highest level of the year, have temporarily stopped." Bitcoin recorded the 57 million KRW range the day before, recovering its price from earlier this year.

However, the report also stated that market participants still hold a bullish outlook on the price. This outlook is interpreted as being due to news that institutions buying Bitcoin are accumulating large amounts. Global software group MicroStrategy is known to have received a $250 million (approximately 303 billion KRW) loan from Silvergate Bank, a U.S. digital currency industry specialized bank, for additional Bitcoin purchases. Currently, MicroStrategy reportedly holds about 125,000 Bitcoins. Earlier, reports emerged that the Luna Foundation, which issued the cryptocurrency Terra, purchased over $1 billion (approximately 1.2122 trillion KRW) worth of Bitcoin since the end of January this year.

Additionally, Kyle Davies, co-founder of cryptocurrency investment firm Three Arrows Capital, explained, "Since concerns about the macroeconomy and the Ukraine situation arose, there is no longer anyone wanting to sell Bitcoin," adding, "It is natural that Bitcoin is recording strong bids." Bitcoin prices had shown an upward trend as uncertainties were resolved due to the U.S. interest rate hikes and peace negotiations between Russia and Ukraine progressed.

Meanwhile, Dunamu, the operator of Upbit, reported that its Digital Asset Fear & Greed Index stood at 61.83, indicating a 'Greed' phase. Compared to 65.48 (Fear) the previous day, it fell by 3.65, but compared to 57.41 (Neutral) on the 23rd of this month, it rose by 4.42. Dunamu's Digital Asset Fear & Greed Index is divided into 'Extreme Fear (0?20)', 'Fear (20?40)', 'Neutral (40?60)', 'Greed (60?80)', and 'Extreme Greed (80?100)'. The greed direction indicates increased interest in buying among market participants, whereas moving toward fear indicates a fear of asset decline, leading to market exits and a chain reaction of price drops.

This content was produced with the assistance of AI translation services.